CLARA RESOURCES AUSTRALIA LTD — Capital/Financing Update 2016

Sep 21, 2016

==> picture [165 x 14] intentionally omitted <==

==> picture [165 x 14] intentionally omitted <==

==> picture [165 x 14] intentionally omitted <==

==> picture [165 x 14] intentionally omitted <==

==> picture [165 x 14] intentionally omitted <==

==> picture [165 x 14] intentionally omitted <==

==> picture [165 x 14] intentionally omitted <==

==> picture [165 x 14] intentionally omitted <==

==> picture [165 x 13] intentionally omitted <==

22 September 2016

Dear Shareholder

Aus Tin Mining Limited – Non‐Renounceable Entitlement Offer ‐ Notice to Ineligible Shareholders

On 21 September 2016, Aus Tin Mining Limited (Aus Tin Mining or the Company) announced a non‐renounceable entitlement offer under which the Company proposes to raise up to $1,657,658 (before issue costs) by offering eligible shareholders the opportunity to acquire additional fully paid ordinary shares in the capital of the Company (New Shares) on the basis of one (1) New Share for every ten (10) existing fully paid ordinary share held as at 7:00pm (Sydney time) on the Record Date of 26 September 2016 (Offer).

An Offer Booklet was lodged by the Company with the ASX on 21 September 2016. The Offer is underwritten as to the sum of $828,829 by DGR Global Limited ACN 052 354 837. Fiscus Capital Pty Ltd has been appointed as Lead Manager to the Offer.

The Offer will be available to all registered shareholders at 7pm Sydney time on 26 September 2016 ( Record Date ) with registered addresses in Australia, New Zealand and Hong Kong or any other jurisdiction in which the Company subsequently determines it may extend the Offer ( Eligible Shareholders ).

In accordance with the ASX Listing Rules, the Company has decided that it is unreasonable to make offers under the Offer to Shareholders with registered addresses outside Australia, New Zealand and Hong Kong (Ineligible Shareholders), having regard to the number of Shareholders in those places, the number and value of the New Shares they would be offered under the Offer and the cost of complying with the legal and regulatory requirements in those places.

Unfortunately, since you are an Ineligible Shareholder, the Offer will not be extended to you and the Offer Booklet prepared by the Company in relation to the Offer will not be sent to you.

This letter is not an offer to issue New Shares to you, nor an invitation for you to apply for New Shares.

You do not have to take any further action in relation to the Offer.

Should you have any questions regarding the Offer you may contact the Company Secretary on +61 7 3303 0661.

Yours faithfully

==> picture [142 x 27] intentionally omitted <==

Karl Schlobohm Company Secretary Aus Tin Mining Ltd

Aus Tin Mining Limited Level 27, 111 Eagle Street, Brisbane, Qld 4000 (GPO Box 5261) Phone: 07 3303 0611, Fax: 07‐3303 0681